the state department last night came out with whatever it is, defensive statement, whatever. but their spokesman said with great clarity that there was no protest about a videotape that everyone's talked about. in effect, that undermines the susan rice story, undermines hillary and president obama. this is from the state department. this is what we've known. this is a cover-up or a falsehood or something that is going to blow up. >> reporter: i don't know about blow up, larry. but susan rice was wrong. the president was wrong. hillary clinton was wrong when they said weeks ago what they said. state department now acknowledges that. but the white house insists it never intentionally lied. they say they told the truth as they knew it all along. >> we're going to leave it there. steve handelsman, thanks very much. there wasn't a riot over some youtube videotape. it was an organized terror attack. and, yes, inadequate security. so the question is, what did the president and hillary clinton know and when did they know it? with all this sworn testimony, this really does smell of a